School sales disappoint

NEW YORK — Americans’ cautious spending on clothing extended into August, capping a weak back-to-school selling season for retailers.

Several retailers including clothiers Cato Corp. and L Brands Inc. on Thursday posted disappointing revenue during the month, which falls in the middle of the second biggest shopping period of the year.

Gap Inc., which operates stores under its namesake, Old Navy and Banana Republic, announced that its revenue at stores opened at least a year rose a modest 2 percent. Analysts had expected a 2.2 percent gain.

Nationally, the results raise questions about whether Americans will spend during the winter holidays in November and December, a time retailers can make up to 40 percent of their revenue for the year.

While the back-to-school season, which runs from mid-July through mid-September, isn’t an absolute predictor of how Americans will spend during the winter holidays, it does offer insight into consumers’ mindset.

“Overall, the month was mediocre for sales,” said Michael P. Niemira, chief economist at the International Council of Shopping Centers. “The back-to-school season started late and it never had momentum.”

Overall, revenue at stores opened at least a year — a measure of a retailer’s health— rose 3.6 percent in August, according to a tally of 10 retailers by the International Council of Shopping Centers. That’s up a tad from July’s 3.5 percent gain.

Only a sliver of retail chains report monthly sales figures, and the list doesn’t include Walmarts, Macy’s Inc. and many other large chains.

But Thursday’s tally adds to evidence that the economy hasn’t recovered enough to sustain higher levels of spending for most Americans.

Last month, Macy’s Inc., Target Corp. and Walmart lowered their expectations for the rest of the year.

Many stores stepped up discounting in August to get shoppers to buy. Teen retailer Aeoropostale Inc. offered 50 percent discounts on its entire merchandise over Labor Day weekend.